Connected Load Charge (CLC)

Connected Load Charge is a mitigating tool to discourage consumers from over declaring their load requirement. Over declaration will lead to over plant usage and associated waste of resources allied to increases in reserve margin.

Without CLC, other consumers have to also pay for the unnecessary higher cost of electricity due to wastage and this is unfair to those who properly declared. Other utility that does not have CLC penalty, recover their demand component or fix cost via imposing contract capacity charge through their tariff rate based on consumer declaration.

 

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